(Morgan Stanley) March 28, 2012 – Morgan Stanley Global Private Equity has formed a strategic partnership with OSF Merchant Banking to pursue investment opportunities in Brazil. Based in São Paulo, OSF is a fund manager that offers international and local qualified investors customized alternative investment advice.

“Brazil has entered a cycle of abundant opportunity and unprecedented capital flow. Private equity firms are now presented with the challenge of identifying and structuring investments in a very competitive environment that does not typically rely on leverage as a fundamental piece in transaction finance,” said Hans J. Apostel, a founding partner of OSF and head of its investment committee. “We are delighted to be working with the Morgan Stanley Global Private Equity team and expect their focus on operational improvements will make them well-suited for investing in Brazil.”

“OSF Merchant Banking and Morgan Stanley Global Private Equity together will look to identify companies with great growth potential and sustainable superior operating margins in order to provide risk-adjusted returns to our investors,” says Dr. Thomas Jetter, a founding partner of OSF and member of its investment committee. “Brazil has become a natural landing point for globally active private equity funds that are looking to allocate capital to the most attractive growth markets.”

“We are excited to be partnering with OSF Merchant Banking as we explore investment opportunities in Brazil,” said Alan Jones, Head of Morgan Stanley Global Private Equity. “OSF has assembled a unique team of highly talented dealmakers and operating partners with both international private equity expertise and local market knowledge. The OSF organization and their approach to private equity investing are remarkably similar to ours, and we look forward to combining the resources and experience of both organizations.”